"Quantitative trading? Are you sure that the strategy of this asset management company is quantitative trading, and it is the only strategy of this company?"

Sensing that Fu Zhengyi had raised his voice in vain, Liu Meijia was a little puzzled. Pen × fun × Pavilion www. ｂｉｑｕｇｅ。 info "That's right, it's the quantitative trading strategy executed, the trading model in this asset management company is designed and developed by mathematicians, and industry insiders say that this company's strategy represents the future trend of the financial market......"

Thinking of a particularly famous event, Fu Zhengyi patted her on the shoulder without waiting for Liu Meijia to finish speaking. "Stop, stop, what's the full name of this asset management company you're talking about?"

"Long-Term Capital Management, abbreviated as LTCM......"

"Suspend the cooperation with this company! Suspend it immediately! If the other party has already provided a guarantee for financial assets, then immediately ask the other party to redeem it! Even if Jiamei Bank needs to suffer losses, this matter must be dealt with immediately!"

The weight of Fu Zhengyi's tone made Liu Meijia stunned, and she was stunned for a moment before she was stunned. "Justice, what are you kidding? LTCM will provide a billion dollars of financial assets as collateral next month, and the plan is already about to be executed......"

Patting his forehead, Fu Zhengyi sighed. "If you can't do it, you can only break the contract! No matter how high the price is, you must immediately terminate the cooperation with this company! Jiamei Bank and Wanbian Securities must not have anything to do with this company, so hurry up!"

Liu Meijia was stunned, and only after a moment did she become dissatisfied. "Why? It took me three months to negotiate before and after, LTCM is arbitrage, the financial assets held are low-risk, almost all banks have given the highest ratings, and other banks have no chance to get the opportunity to cooperate with them......"

Since the company's operation strategy is quantitative trading and risk-neutral arbitrage strategy through the interest rate swap market, the Southeast Asian financial crisis will inevitably lead to a sharp rise and fall in interest rate spreads, and with only billions of dollars of capital to leverage hundreds of billions of financial assets, a single error in judgment is enough to make the company bankrupt in an instant!

Liu Meijia was stunned, because she rarely saw him express his opposition so strongly, and he didn't ask in detail about the specific details of the cooperation between the two sides at all, so she hesitated before she spoke. "Justice, are you a little too sensitive? It has been nearly a year since the outbreak of the Southeast Asian economic crisis, and LTCM is currently known as the international 'Big Four' hedge fund together with Omega, Quantum and Tiger Fund......

"Meijia, I know that the scale of this LTCM is very large, and it is a large company that many banks and economic banks are willing to cooperate with, but whether it is the former deputy director of the Federal Reserve, or the winner of the Nobel Prize in Economics, or the foolproof trading program designed by mathematicians, when the political factors are not controlled, what strategy, what elite is meaningless, and excessive leverage may bring huge profits or high losses!"

"However, once the contract is broken, the liquidated damages that Jiamei Bank needs to bear are quite amazing, and it is simply unbearable! And there is no reason to explain to that side, this, this will lead to the loss of Jiamei Bank's reputation! The reputation of the banking industry is life, and once the contract is broken, it may mean that there is no possibility of turning over......

"If the contract is broken, how big will the loss be? If you propose to terminate the cooperation now, when can you safely withdraw at the earliest?"

Liu Meijia thought about it before speaking. "If you break the contract, you need to pay 50 million US dollars in compensation, but if you want to terminate the follow-up cooperation, you must notify you six months in advance. According to the previous agreement, the financial collateral held by Jiamei Bank can be transferred after three months of holding......"

"That means that if you inform the other party that Jiamei Bank has decided to terminate the agreement, it must not be withdrawn until the end of July?"

"Uh...... Not exactly. If LTCM and Jiamei Bank are notified now that they cannot fulfill the agreement, the loan can be fully recovered after six months, and the collateral can be transferred privately in April......"

"In this way, you can now let the people below conduct a risk assessment on the termination of the cooperation, how can you exchange the minimum loss for the termination of the agreement!"

Knowing that Fu Zhengyi was no longer admonishing, but ordering, Liu Meijia took out her mobile phone and turned it on, and immediately contacted Maddie, the vice president in charge of this affairs, but only signed the relevant cooperation documents two days ago, and in vain she had to terminate the cooperation at the expense of breaking the contract.

"Maddie, I'm not drunk, I haven't drunk a drop tonight!"

"Meijia, it's late at night over there, I still suggest you get some sleep and tell me about it......"

Maddie's insistence made Liu Meijia a little crying and laughing, so she had to hang up the phone and return to the living room first. "Justice, even if we can convince LTCM to use Jiamei Bank as a reason that it has to terminate the cooperation due to a change in investment direction, if we don't want to end the cooperation by 'breaking the contract', then we need to pay at least 20 million US dollars in liquidated damages......

Picking Liu Meijia into his arms and caressing her shoulders, Fu Zhengyi breathed a sigh of relief. "20 million is made compared with hundreds of millions, or even billions of dollars of potential risks, don't be so depressed, as long as the capital is there, there is still a chance!"

Wall Street investment banks are quite appreciative of the company's operating model, and some newly established fund companies are also studying their operating models and strategies, and everyone in the market is optimistic about the company's development potential, and no one thinks that such a successful hedge fund company will be risky! That would ruin the hard-won reputation of Jiamei Bank......"

The name of LTCM is like thunder in the investment world, and its development process can be called a textbook of modern venture capital.

However, at present, LTCM is in a glorious moment, whether it is Wall Street or the banking industry, it is regarded as an excellent partner with the lowest risk, and it is too difficult to give Liu Meijia a reasonable explanation!

"Mega, the shares currently held by Bayside Securities are already five times leveraged, and Jiamei Bank's own funds can provide a loan of up to three billion US dollars, since it is necessary to find a reason, then Jiamei Bank will explain on the grounds of 'need to invest in emerging markets', I have become a company called Weizhi Technology in Hanzhou, and the company's valuation has increased from the initial one billion US dollars to five US dollars, you can say that Jiamei Bank needs to pay one billion US dollars to participate in the shares, it should make sense......"

After listening to Fu Justice's method, Liu Meijia smiled bitterly. "The valuation of a five-billion-dollar company? Do you think the investment banks on Wall Street are fools......?

"The valuation of five billion US dollars is absolutely underestimated, once the market layout of Weizhi Technology is completed, it is very simple to increase the valuation by ten times, but before Weizhi Technology grows, all investors need to be under pressure......"

Eyebrows locked, Liu Meijia pondered for a while, then picked up the mobile phone and walked into the kitchen, and dialed Vice President Maddie again. "Maddie, let's talk to LTCM on the grounds that Jiamei Bank needs to increase investment in emerging markets, if we can't understand, then we would rather pay 20 million US dollars in liquidated damages to ensure that Jiamei Bank's reputation will not be damaged!"

"Meijia, we just signed a cooperation agreement with LTCM two days ago, although the first loan of 300 million US dollars has not been remitted to their account, but LTCM's collateral has been transferred, as a bank can not be so hasty, many times even if it may face losses, it needs to grit your teeth to bear, otherwise once the reputation is damaged, it will not be far from closing......"

That's why I agreed to pay liquidated damages, can't Jiamei Bank pay liquidated damages, can't LTCM be silent?"

"It's very difficult! We are going to break the contract only two days after signing the agreement, this kind of behavior is too bad, 20 million hush money can definitely not stop LTCM, they are currently a large hedge company with nearly 100 billion US dollars of financial assets, and they have a pivotal market position in the market, they are willing to cooperate with Jiamei Bank, which has been regarded by the outside world as an opportunity given by some big people, and does not think that Jiamei Bank has obtained cooperation through its own efforts......"

Liu Meijia was furious. "Damn the big guys! How hard and difficult our communication with the LTCM is, and how hard it is to wipe out all the 'big guys'!

"Meijia, this is the reality, the development ceiling of colored people in the United States is very low, although this side has been advocating freedom, equality, and justice, but the real America is like this, the politicians on Capitol Hill will only come out and say a few words when they need to, but they will definitely be inclined afterwards......"

There was no result in communication, and the breach of the contract meant that the reputation of Jiamei Bank was damaged, and even if the liquidated damages were paid, it could not be recovered, which made Liu Meijia more and more frustrated.

But when she returned to the living room to tell Fu Zhengyi, she saw that he was on the phone, so she quietly sat down next to him and held his left hand.

Smiled at Liu Meijia, Fu Zhengyi continued to ask. "Tony, did you know that there is a financial derivative called a 'credit default swap'?" )